Grants Exceeding $5 Million Could Help Synthetic Blood International Become A Multi-Product Company

June 20, 2008

Synthetic Blood International, Inc. (OTCBB:SYBD) today announced that grants awarded by the Department of Defense to study clinical applications for Oxycyte(R) total more than $5.3 million. Oxycyte is the company’s perfluorocarbon (PFC) therapeutic oxygen carrier.

The grants, which have been previously announced, are summarized below:

— Virginia Commonwealth University Reanimation Engineering Shock Center (VCURES) received $1.3 million under a previously awarded U.S. Office of Naval Research grant for the treatment and prevention of decompression sickness (DCS) with Oxycyte.

— A $1.6 million grant (over 3 years) was made for support of research into Oxycyte’s ability to treat/prevent organ damage from arterial gas embolism (AGE). AGE is a potential result of DCS but also occurs during a number of surgical procedures including cardiac surgery, orthopedic-joint replacement, gynecologic surgery, and neurosurgery.

— Approximately $1.2 million (over 3 years) will be utilized in ongoing studies of perfluorocarbon emulsions in the treatment of severe DCS, which occurs in dive accidents, mine workers, high altitude and space flight, and is a potential complication of rescue from a disabled submarine.

— A $300,000 dollar grant (over two years) was made to sponsor a post-doctoral candidate to work in the microcirculation laboratories of VCURES supporting research in AGE, DCS, as well as other work in traumatic brain injury (TBI).

— $300,000 was awarded to develop pilot studies into the effectiveness of Oxycyte in treating TBI secondary to a blast. Blast injury is the largest single cause of mortality and long term morbidity for coalition troops stationed in Iraq and Afghanistan. The VCURES work in blast injury will carefully dovetail with other Oxycyte research in TBI.

— $600,000 from the United States Army is a sub-award from the $1.9 million grant to M. Ross Bullock, M.D., Ph.D., of the University of Miami Miller School of Medicine, Department of Neurosurgery. This money will support the VCURES efforts in the human civilian brain injury trial.

“The $5.3 million total represents only grants specifically dedicated to Oxycyte. It does not include grant funds in which Oxycyte was one among other drug studies,” said company chairman and CEO Chris J. Stern, DBA. “If we could include all the money spent from outside sources on Oxycyte research, the amount would be significantly greater. And we have indications that other researchers may be looking for funding for additional Oxycyte work that could speed up development of this promising product. This clearly underlines our intent to become a multi-product company with a strong portfolio of what could become a dozen or more indications in oxygen delivery to tissue.”

About Synthetic Blood International

Synthetic Blood International will soon be changing its name to Oxygen Biotherapeutics, Inc. pending completion of a reincorporation as approved by a vote of shareholders on June 17, 2008. A new stock trading symbol will be announced when it is assigned. The company is dedicated to commercializing innovative pharmaceuticals and medical devices in the field of oxygen therapeutics and continuous substrate monitoring. The Company has under development a perfluorocarbon therapeutic oxygen carrier and liquid ventilation product and an implantable glucose sensor. These products are based upon core technologies that include biomedical applications for PFCs and medical and industrial applications for biosensors. Each of the product candidates is designed with advantages over currently marketed products in major markets including acute respiratory distress syndrome, stroke, myocardial infarction, surgery, trauma, malignant tumors and diabetes. For further information, visit www.sybd.com.

Caution Regarding Forward-Looking Statements

This news release contains certain forward-looking statements by Synthetic Blood International, Inc. that involve risks and uncertainties and reflect the company’s judgment as of the date of this release. These statements include descriptions of and references to potential applications of Oxycyte, the potential benefits of Oxycyte, forecasts of the company’s prospects for a product portfolio, and possible additional outside sources of funding for Oxycyte research. Actual events or results may differ from Synthetic Blood International, Inc.’s expectations. There can be no assurance that any such research will be successful, that any additional outside funding for research will become available, that Oxycyte will be approved for market by the FDA, or that if approved will gain market acceptance. Additional information concerning these and other risk factors affecting Synthetic Blood International, Inc.’s business can be found in the company’s public periodic filings with the Securities and Exchange Commission, which are available via www.SYBD.com. Synthetic Blood International, Inc. disclaims any intent or obligation to update these forward-looking statements beyond the date of this release. This caution is made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.